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Joe Is an Environmental Activist and He Acquired Shares in MacMillan

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Essay

Joe is an environmental activist and he acquired shares in MacMillan Bloedel (a forestry corporation),only for the purpose of undermining MacMillan Bloedel,speaking against its practices at annual shareholders' meetings,and getting access to confidential information.Joe spoke against MacMillan Bloedel at every opportunity.Explain his legal obligations to the corporation under these circumstances.

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Definitions:

Residual Income

The net income an investment or project generates above the minimum required rate of return.

Required Rate Of Return

The minimum return an investor expects to achieve from an investment, given its risk level.

Responsibility Accounting

An accounting system that collects and reports planned and actual accounting information about the inputs and outputs of responsible parties.

Manager Control

The processes and procedures implemented by management to ensure that the organization's goals and objectives are achieved efficiently.

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